Warren Buffett to Government:Save the Middle Class

8/18/2011 10:13AM

Marketwatch.com columnist David Weidner discusses Berkshire Hathaway CEO Warren Buffett's group of companies and how they rely on the success of the nation's middle class. Photo by Jemal Countess/Getty Images for Time Inc.

This transcript has been automatically generated and may not be 100% accurate.

... the yet we wanted briefly bring another actually all we can work out and had an app that basically saying that it's time for the another millionaires to to show their shared sacrifice to get tax and higher rates than they are now ... you're at your of this got a lot of focused as you point out Warren Buffett ... smart savvy guy has a lot of it again easy it is much talk in his own book is trying to be a you know ... it's hard to do something for of for it for the US situation to deal with every Warren Buffett letter ... we journalists and pundits and analysts go out and trying to think what's really behind ... Mr. Buffett's message and ... I think you know I think in general he's he's really sincere with this request this is been a long ... standing on our position is that he thinks the Super Rich need to be taxed more ... but I think I think there's two things that are Khona overlooking the Kuttner macro issues ... and that that that that Warren Buffett and Berkshire Hathaway and you know it uses the work of all and I ... say you know he may not want to be coddled everybody likes to look out the window and then you've got ... one that one is that you know are complicit in the letter in saying ... that he trusts the government with his money ... he believes that are coming in and help spur she or ... are in that he says yes you're doing ... you know ... you you provide education among employees is to provide healthcare to my retirees ... are you provide to our regulation so that my competitors can't cheat in the game ... so so he sees benefits and government ... and secondly I think you know ... the whole idea is that ... we've got a shrinking middle class regatta shrinking ... our consumer base that hurts Berkshire ... where we're counting Mimi's Cafe Fushi's subsidiaries are wholly owned ... a lot of these companies are very familiar consumer brand names that ... really hit so ... far are familiar with working Americans for gloomy view Benjamin Moore paints Geico Insurance the talking get Cabrey you know these these are very familiar names ... and and the success of culture depends on an economy where people can pay for this ... so I I think that he's the star of all the iPod the disparity of wealth ... it in the country and in on the consumer front garden and I think Berkshire stock if you look at it over the last few years ... it has really suffered I think it's impart pecans ... of those businesses are performing the way that they have so we mean is it still wasn't a SocialEyes that Henry Ford for certain pay his own workers mortgage so that they could then turn around a buy and buy his car so warm Buffett is seeing is is sort of he's losing his customer base and keeping swung away ... to maintain or to ... help grow that is Baidu ... in him changing tax rates redistributing wealth basically in the US ... but is that really a viable something that that seems to be served his ... idea logical assumption is there any evidence that ... well and there's evidence to suggest that no one in the coming were people don't have ... of Waterman are Koppen about spending you don't ... we're not seeing the kind of of results and some decent businesses that Berkshires had to ... have historically been bigger winners for the company ... so I think in general ... it's a trend issue and I think that ... in place it in in in in is that correct statement by any means but implicit in Buffett's message is that ... we've got to ... keep up ... you know ... the consumer case that that's that's out there and strong middle class ... to keep businesses like ... not just his businesses but ... a barricaded as reflected in the ring as a strong economy and ... the police ... back to your strong point that the government can somehow this'll take my right well you know Warren said that around the block a US certainly didn't give us quadrupling TV with the rest Richard Blakey says this is essentially being in answering these willing I guess she led to go out there in and how his fist about it but again ... it whether he starts